Earnings per Common Share

3 Months Ended

Mar. 31, 2021


Note 2			Earnings per Common Share

Basic earnings per common share is computed using the weighted average number of common shares outstanding, including vested unissued participating restricted stock units. Diluted earnings per common share is computed using the weighted average number of common and dilutive potential common shares outstanding.

For the Company, dilutive potential common shares consist of outstanding stock options and

unvested non-participating restricted stock units and contingently issuable performance stock awards. The effect of dilutive potential common shares does not include the effect of options with an anti-dilutive effect on earnings per common share because their exercise prices exceed the average market price of Allstate common shares during the period or for which the unrecognized compensation cost would have an anti-dilutive effect.


Computation of basic and diluted earnings per common share
(In millions, except per share data)	Three months ended March 31,
		2021		2020
Numerator:

Net income from continuing operations		$	2,406	$	837
Less: Net loss attributable to noncontrolling interest		(6)		—
Net income from continuing operations attributable to Allstate		2,412		837
Less: Preferred stock dividends		27		36
Net income from continuing operations applicable to common shareholders		2,385		801
Loss from discontinued operations, net of tax		(3,793)		(288)
Net (loss) income applicable to common shareholders		$	(1,408)	$	513

Denominator:

Weighted average common shares outstanding		302.5		317.4
Effect of dilutive potential common shares:
Stock options		2.5		3.3
Restricted stock units (non-participating) and performance stock awards		1.4		1.7
Weighted average common and dilutive potential common shares outstanding		306.4		322.4

Earnings per common share applicable to common shareholders
Basic
Continuing operations		$	7.88	$	2.52
Discontinued operations		(12.53)		(0.90)
Total		$	(4.65)	$	1.62

Diluted
Continuing operations		$	7.78	$	2.48
Discontinued operations		(12.38)		(0.89)
Total		$	(4.60)	$	1.59

Anti-dilutive options excluded from diluted earnings per common share		2.2		0.8